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First Choice in talks to sell package division – 27 Nov 2006

First Choice has confirmed it is in talks with a number of parties over the sale of its package holiday business, according to newspaper reports.


Package tour operator MyTravel is one of the companies expressing an early interest in buying the business from First Choice, while Germany’s Tui and Thomas Cook have also said they may enter into negotiations.


If First Choice succeeded in sell of its package holiday business it would be left to focus on specialist and activity breaks with brands such as Sunsail, Exodus, Trek America and Hayes and Jarvis.


Package holidays make up around half of First Choice’s business, and could fetch £500 million. The deal represents a consolidation trend within the mass package holiday market, as operators seek drive up volume on in a lower-margin market by growing in size.




 

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